Problems with Current SBU:

Even though Finlay is one of the largest producer of tea and having expertise in the market their
Black Tea and Green Tea are not being able to dominate the tea industry. Their green tea is
considered a low end product and only be able to capture 17% - 20%. (According to the Deputy
Manager of Finlay) market share in this segment. As all the major companies are extending their
product line by introducing Green Tea, their market share is decline gradually. After conducting
primary and secondary research we got to know some of the problems Finlay Green Tea faces in
the current market.

Wrong Perception/Knowledge of Green Tea: Even though green tea is considered the healthiest
organic hot beverage very few people actually know about its health benefits. People have a
wrong perception about green tea that it is similar to black regular tea with a bad taste. They are
not aware of the fact that it is high in anti-oxidant, fluorine, Vitamin A, Vitamin C and many
minerals. Anti-oxidant is good for our heart and reduces the risk of acquiring infections and
deceases like cancer. A cup of green tea every day can make our life healthier and longer by
cleaning our body from the inside.

Cultural and Taste Preference: Drinking regular milk tea as a hot beverage is a habit that is
common in most of the people of Bangladesh. This habit was taught to us by the British people
during their colonial period. Because of our culture we prefer foods/drinks that are sugary or
tasty. Since green tea doesn’t have a sweet taste, we tend to not drink it overshadowing its health
benefits. People prefer milk tea over other hot beverages as it aid their taste preference.

Lesser Brand Awareness: In spite of the fact that Finlay (The Consolidated Tea and Lands
Company) is one of the largest tea producer of the country people hardly know about the brand
or their green tea product line. When they introduced their product on the mass market they
didn’t run any impactful IMC to let people know about their existence. They don’t have any
proper TVC, digital media presence or newspaper ads. Only time customers get to encounter with
the brand when they go to any super shops to buy their tea.
Low Point of Differentiation: Since green tea is still in the growth stage on the PLC curve only a
few selective segments of people only drink green tea. These people are usually health conscious,
more aware people who prefer high quality products over low priced products. They prefer
products that look premium and has POD in terms of packaging, taste or quality. Even though
Finlay’s Green Tea is of good quality, for having almost no POD and normal packaging people
consider Finlay as a low quality product. So most of the customers preferred Kazi and Kazi as it
has a premium quality packaging (bag in bag), and variety of flavors which was their POD.

No Clear Promotion/Communications: When Finlay Tea’s SBU Green Tea was launched it didn’t
have proper promotional activities, no TVC was made, not enough Newspaper posters, outdoor
advertisement. This SBU has the same tagline as Finlay Tea “Finlay Cha Ashol Cha” instead of
creating a new message for the green tea. It was necessary as Green Tea is different product than
regular black/milk tea. Green Tea has many health benefits for being rich in nutrient and anti-
oxidant which could have been communicated to the customers to promote the product.

Loss of Market Share: Finlay was the first company to introduce their Green Tea line in the
Bangladesh market. In spite of having a very lucrative market, they couldn’t manage to get a
favorable response from the customers. They failed to create a hype for this product. With time
many other major tea-sellers like Kazi and Kazi, Blender’s Choice Green Tea started to enter the
Green Tea market and started stealing whatever share Finlay was able to manage. Finlay could
only sustain 17%-20% market share. These brands were successful in stealing because they were
able to create a perception of being better quality product through their packaging.